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IMF Executive Board Concludes 2013 Article IV Consultation with Algeria
ALGIERS – On January 23, 2014, the Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation with Algeria without a meeting.2
Economic performance in 2013 has been satisfactory. Inflation, which reached 8.9 percent last year, has decelerated significantly in 2013 thanks to fiscal consolidation and prudent monetary policy. Real gross domestic product (GDP) growth is expected to slow to 2.7 percent in 2013 from 3.3 percent in 2012, reflecting a continued decline in hydrocarbon sector output and lower public spending, somewhat offset by the strong growth of private demand and investment by state-owned enterprises. However, Algeria’s external position, though still very strong, has started to weaken. The current account surplus is expected to narrow to 1.1 percent of GDP in 2013, as robust domestic hydrocarbon consumption, together with declining prices, weighs on hydrocarbon exports and import growth remains sizeable. Risks are tilted to the downside: Algeria is vulnerable to a prolonged decline in oil prices, a worsening of the global environment, further pressure on the hydrocarbon rent, and an intensification of regional tensions. Outward spillovers are likely to be limited. Algeria faces a number of challenges. Despite stabilization in 2013, new inflationary pressures may arise following the recent surge in credit and a new increase in public sector wages. Fiscal and external vulnerabilities to developments in the hydrocarbon sector are worsening, as the domestic consumption drag on export volumes is compounding the longstanding risk related to lower oil prices. In addition, notwithstanding the ongoing consolidation, fiscal policy is not on a sustainable path. It is de facto pro-cyclical, and the non-hydrocarbon primary deficit is well above its long-term sustainable level, implying negative net public savings in the long run. Finally, shortcomings in competitiveness and productivity are weighing on economic growth, which remains below its potential and below the level required to significantly reduce unemployment, especially for youth and women. Although stable, the financial sector is underdeveloped, constraining access to financing, in particular for small- and medium-sized enterprises.
Executive Board Assessment
Executive Directors commended Algeria’s economic performance, notably the decline in inflation, unemployment and inequality. Directors noted, however, that strong credit growth and another public sector wage increase call for continued caution over price stability. They also observed a worsening in the economy’s vulnerability to developments in the hydrocarbon sector, as declining hydrocarbon production and surging domestic consumption are squeezing export volumes, compounding the longstanding risk of lower oil prices. Finally, they noted that unemployment remained high among youth and women. Against this background, Directors encouraged the authorities to take measures to consolidate macroeconomic and financial stability, ensure long-term fiscal sustainability, and promote strong private sector-led non-hydrocarbon growth and robust job creation.
Directors welcomed the decline in inflation brought about by monetary tightening and fiscal consolidation. They cautioned, however, that the recent surge in credit to the economy, together with the planned increase in current spending in 2014, could revive inflationary pressures, and urged the Banque d’Algérie to stand ready to increase liquidity absorption and raise interest rates if needed. Avoiding new increases in current spending, and financing the budget deficit by issuing debt rather than by drawings from the oil fund, will also be important.
Directors emphasized that the fiscal consolidation initiated in 2013 should continue in order to ensure fiscal sustainability. They recommended containing the wage bill; gradually phasing out subsidies while establishing a targeted cash-transfer system to protect the poor; stabilizing transfers to public entities in real terms; and reducing tax exemptions. To protect economic growth, Directors agreed that it will be important to preserve capital spending and enhance its efficiency and effectiveness.
Directors recommended that Algeria adopt a full-fledged fiscal rule to better manage hydrocarbon revenue volatility and attain fiscal sustainability. A fiscal rule using a backward-looking average oil price and setting a limit on the structural primary balance consistent with long-run fiscal sustainability would improve the management of hydrocarbon revenue. Further, the oil fund could be transformed into a sovereign wealth fund, and annual ceilings on drawings established to preserve financial savings. To improve public financial management, Directors recommended increasing the transparency of hydrocarbon revenue collection and developing an integrated financial management information system.
Directors noted that preserving fiscal and external sustainability would require increasing hydrocarbon production and extending the time horizon of reserves. They recommended improving the business environment, attracting Foreign Direct Investment (FDI) in the hydrocarbon sector, and swiftly implementing the national oil company’s investment plans. Phasing out implicit subsidies would help contain domestic energy consumption and support exports.
Directors encouraged the authorities to continue targeting the equilibrium real effective exchange rate to protect the competitiveness of non-hydrocarbon exports. They saw the premium in the illegal parallel exchange market as detrimental to growth and urged the authorities to forcefully tackle it. Furthermore, they recommended increasing the indicative foreign exchange ceilings for travelers to more realistic levels.
Directors welcomed the stability of the financial sector. To support its development, they recommended fostering competition in the banking sector, speeding up the development of credit bureaus, revisiting the guarantee mechanisms, and strengthening collateral and insolvency regimes. Directors also called for the ban on consumer lending to be lifted, and more space provided for mortgage finance. To develop capital markets, they advised issuing more sovereign debt and listing well-performing state-owned enterprises on the stock exchange, while removing disincentives to private sector debt and equity issuance. Finally, Directors urged the authorities to take immediate steps to address deficiencies in the Anti-Money Laundering/Combating the Financing of Terrorism framework.
Directors underscored the need for wide-ranging structural reforms to accelerate economic growth and job creation. They noted in particular the importance of improving the business environment, enhancing cost competitiveness, and relaxing the restrictive FDI regime. They called for deeper trade integration through WTO accession, trade facilitation, and export promotion. Directors also called for reforms to increase labor market flexibility and ensure that job seekers are equipped with the right skills.
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Flamingos Return To Abuja After Historic U-17 World Cup Triumph
Nigeria’s victorious U-17 women’s national team, the Flamingos, have returned to Abuja following their historic triumph at the 2026 FIFA U-17 Women’s World Cup in Morocco.
The team arrived at the Nnamdi Azikiwe International Airport, Abuja, in the early hours of Monday, where they were received by officials of the Nigeria Football Federation (NFF) and supporters.
The Flamingos made history on Saturday after defeating Japan 2-1 in the final to win their maiden FIFA U-17 Women’s World Cup title, becoming the first African team to lift the trophy.
Goals from Awawu Bashiru and Oluebube Umejiaku secured the historic victory for Nigeria, capping an impressive campaign by the young players.
SEE ALSO: Tinubu Hails Flamingos After Historic World Cup Final Qualification, Urges Team to Win Trophy
The triumph followed another successful outing at the 2026 WAFU-B U-17 Girls Cup in Côte d’Ivoire, where the Flamingos recorded five victories from five matches, scoring 17 goals and conceding just once.
Head coach Hakeem Busari has described the team’s achievement as the outcome of sustained development, resilience and tactical discipline.
Speaking after the final, Busari said the performance of African teams at the tournament reflected the growing quality and competitiveness of women’s football on the continent.
“What we are seeing now is not a fluke. It is about development, it is about character, and it is about fighting from the beginning to really get it right. So we are elated and happy,” he said.
The coach also explained that his technical crew carefully studied Japan’s playing style before the final, particularly the team’s ability to win second balls and exploit spaces behind defensive lines.
He said the Flamingos adjusted their approach to limit Japan’s attacking opportunities, describing the encounter as a tactical contest that required collective defending, discipline and effective game management.
Busari expressed optimism that more African teams would progress to the latter stages of future editions of the competition.
Tinubu Congratulates Flamingos
President Bola Tinubu has congratulated the Flamingos on their historic achievement, describing the victory as a proud moment for Nigeria and a landmark for African women’s football.
In a statement issued on Sunday by his spokesperson, Bayo Onanuga, the President said he received the news following his return from campaign engagements in Akwa Ibom and Rivers states.
“What wonderful news to return home to! Our young girls have conquered the world and given Nigerians everywhere another reason to celebrate our great country.
“To our gallant Flamingos, I say congratulations. You have shown courage, discipline, determination and the Nigerian spirit of never giving up,” Tinubu said.
The President recalled that the players had promised to bring the trophy home following their semi-final victory, commending them for fulfilling their promise.
He particularly applauded Bashiru and Umejiaku for scoring the decisive goals, while praising the entire squad for their teamwork and determination throughout the tournament.
Tinubu also congratulated the coaching crew, the Nigeria Football Federation and the National Sports Commission for their contributions to the historic success.
He reaffirmed his administration’s commitment to grassroots sports development and expanding opportunities for young Nigerians, particularly girls, to discover and develop their sporting potential.
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‘Don’t Set Nigeria on Fire’ – ADC Sends Warning to APC Over Lifu Judgment
The African Democratic Congress (ADC) has warned the ruling All Progressives Congress (APC) against what it described as a dangerous attempt to weaken the opposition through judicial controversies, following a judgment by Justice Peter Lifu of the Federal High Court, Abuja, affecting the party’s leadership and the candidacy of former Vice President Atiku Abubakar.
The party alleged that the judgment, which reportedly sacked the Senator David Mark-led leadership and invalidated Atiku’s candidacy, was a desperate attempt to undermine the opposition and deny Nigerians the right to freely choose their leaders ahead of the 2027 general elections.
SEE ALSO: Atiku Raises Alarm Over Attacks on Sowore, ADC Governorship Candidate, Accuses APC of Intimidation
In a statement signed by its National Publicity Secretary, Bolaji Abdullahi, on Thursday, the ADC linked the timing of the judgment to the massive turnout at its presidential campaign rally in Sokoto, which took place barely 24 hours earlier.
The party claimed that the rally, which attracted thousands of supporters, had triggered panic within the ruling APC and accelerated the delivery of the judgment.
“We have reasons to believe that the judgment had long been written on this case. The Sokoto rally was simply a trigger that stampeded its delivery,” the statement read.
The ADC argued that the judgment went beyond the political ambitions of Atiku and David Mark, warning that its implications could affect thousands of candidates seeking elective positions at the local, state and federal levels.
It maintained that the development threatened the democratic rights of Nigerians and the participation of opposition candidates in the forthcoming elections.
The party also questioned the legal basis of the judgment, citing an earlier ruling by Justice Musa Liman of the same Federal High Court, delivered on July 2, 2026, in Suit No. FHC/ABJ/CS/1637/2025.
According to the ADC, the earlier judgment affirmed the legitimacy of the David Mark-led National Working Committee (NWC) and directed the Independent National Electoral Commission (INEC) to recognise the leadership.
The party argued that a court of coordinate jurisdiction cannot sit on appeal over, review, vary or nullify the subsisting judgment of another court of equal jurisdiction.
It said it would challenge the latest judgment through every available judicial process, adding that it was awaiting the Certified True Copy (CTC) to establish its precise terms, scope and operative orders.
The ADC further accused the APC of using judicial processes to frustrate opposition parties whenever they gained political momentum.
Warning against what it described as an attempt to eliminate political competition, the party said the peace and stability of Nigeria should not be sacrificed for the political ambitions of any individual or party.
“We warn the APC: do not play with fires you cannot control. The peace and stability of Nigeria are bigger than the ambition of any president or political party,” the statement added.
The party also challenged President Bola Tinubu and the APC to submit themselves to a free and fair electoral contest if they were confident in their performance and popularity.
“Nigeria belongs to Nigerians, not to the APC. The presidency is not an inheritance. If the President thinks he has performed well in office, why is he afraid of competition?” the ADC asked.
The controversy comes amid growing political activities ahead of the 2027 general elections, with the court judgment raising fresh questions about the ADC’s leadership and the status of candidates contesting under its platform.
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Shettima Charges New CAF Secretary to Protect Nigeria’s Interests
Vice President Kashim Shettima has charged newly appointed Confederation of African Football (CAF) General Secretary, Samson Adamu, to protect and promote Nigeria’s interests while advancing the development of African football.
Shettima gave the charge on Tuesday at the Presidential Villa, Abuja, when he received Adamu, who was accompanied by a delegation led by the Chairman of the National Sports Commission, Shehu Dikko.
SEE ALSO: Sanwo-Olu Pledges Full Support as Lagos Prepares to Host 2026 CAF Awards
The Vice President congratulated Adamu on his appointment, describing his emergence as the first Nigerian to occupy the position in CAF’s 70-year history as a significant achievement for the country.
Conveying President Bola Tinubu’s goodwill, Shettima urged Adamu to approach his new responsibilities with integrity, diligence and a strong sense of national pride.
“The President is proud of you, Samson Adamu. Go and do a yo-man’s job. Go and promote, protect and project and preserve the interest of the Nigerian nation,” he said.
Shettima described football as an important instrument of national unity, noting that the sport brings Nigerians together irrespective of their differences.
“Anytime Nigeria plays, it tends to subsume all other identities. Football and sports generally is a source of unity for our country. What binds us together superseded whatever divides us,” he stated.
He attributed Nigeria’s achievements in sports to the quality of its people and the contributions of administrators, coaches, talent scouts and institutions responsible for identifying and developing sporting talents.
The Vice President also recalled the achievements of Nigerian football legends, including Rashidi Yekini, Austin ‘Jay-Jay’ Okocha and Finidi George, noting that their successes were supported by individuals and institutions that nurtured their abilities.
Earlier, Dikko thanked President Tinubu and the Federal Government for supporting sports development, saying the administration’s commitment had strengthened Nigeria’s international sporting profile and created opportunities for investment through sports.
He described Adamu’s appointment as a major milestone for Nigerian sports administration and disclosed that the Federal Government had approved Nigeria’s hosting of the CAF General Assembly in November and the CAF Awards in December 2026.
In his remarks, Adamu expressed appreciation to the Federal Government for its support, describing his appointment as a source of national pride.
He pledged to use his experience as CAF’s former Director of Competitions to strengthen the continental body’s administration and advance African football.
Adamu also promised to support Nigeria’s efforts to harness its football talents and maximise its potential in continental and global sports.
He was appointed CAF General Secretary on Sunday, November 1, 2026, following a recruitment exercise by the continental football governing body. He is expected to oversee CAF’s day-to-day administration.





